Nairobi Governor Johnson Sakaja has put the banking sector on the spot, challenging financial institutions to play a more active role in cushioning public transport operators against the harsh effects of rising fuel prices.

The appeal was made during a meeting convened by the Cabinet Secretary for Roads and Transport, Davis Chirchir, which brought together key players from the financial sector and transport industry operators.

Sakaja urged banks to halt matatu repossessions for 90 days in a bid to support public transport operators who are increasingly finding it difficult to stay afloat amid skyrocketing fuel costs.

“I am appealing to players in the banking sector to support the transport sector by granting a temporary 90-day moratorium on repossession and recovery of assets to help operators continue their work.”

The Governor also raisied concern over aggressive loan recovery tactics by banks, warning that repossessing assets from transport operators is driving them into deeper financial hardship, even as demand for public transport remains high, with thousands of Kenyans relying on matatus daily to get to work and conduct business.

“The sector has experienced aggressive recovery of assets during these difficult times,” he said.

This is not the first time the Governor has spoken out on the matter. On May 19th, Sakaja made a similar plea, this time to SACCOs, urging them to extend a tax amnesty to matatu operators who are struggling to keep up with their loan repayments.

He also emphasized the need for continuous engagement as the government works to address some of the issues raised by the sector.